Soru
The fewer the substitutes for a good or service, the more __ is the demand for it. The smaller the proportion of income spent on a good, the more __ is the demand for it. A. inelastic; inelastic B. inelastic; elastic C. elastic; elastic D. elastic; inelastic
Çözüm
3.7
(248 Oylar)
Yagmur
Usta · 5 yıl öğretmeni
Uzman doğrulaması
Cevap
B. inelastic; elastic
Daha Fazla
## Step 1The first statement is about the demand for a good or service when there are fewer substitutes available. In economics, when a good or service has fewer substitutes, it is considered inelastic. This is because consumers have fewer options to switch to other goods or services when the price of the original good or service increases. Therefore, the demand for such goods or services is inelastic.## Step 2The second statement is about the demand for a good when the proportion of income spent on it is small. In this case, the demand is considered elastic. This is because when a small proportion of income is spent on a good, consumers are more likely to switch to other goods or services when the price of the original good increases. Therefore, the demand for such goods is elastic.